STATEMENTS BY MEMBERS

Ms CLUTTERHAM (Sturt) (13:31): Tomorrow brings the end of the 2025-2026 financial year and the start of a fresh new one. Unlike the start of the calendar year, people are not talking about gym memberships, new diets or pledges to cut back on alcohol and chocolate. This new year brings with it a raft of financial benefits for individual Australians and for small business.

A key example is that, from 1 July 2026, the $20,000 instant asset write-off comes into play. This means that small businesses with an aggregated turnover of less than $10 million can deduct the full cost of eligible depreciating assets costing less than 20 grand that are first used or installed ready for use in an income year. This is proposed on a per-asset basis, so small businesses can instantly write off multiple assets under $20,000 in a single financial year.

The arrangements apply to new and second-hand assets. The benefits of this are multiple and include improved cash flow and the release of immediate liquidity, allowing businesses to reinvest these funds directly into the business. The compliance burden is also minimised because the need to maintain complex multiyear depreciation schedules and records for qualifying assets will be eliminated.

Multiple assets under 20 grand, better cash flow, lower compliance costs and more liquidity—this is a measure designed to support and back Australia's small businesses and those who own and operate them.